A California couple had their home insurance dropped last month because of a satellite photo of “moss” on their roof, but the owners said it was just solar panels.
The Colemans, who live in the Bay Area suburb of Fairfield, received a letter in the mail from Liberty Mutual saying their policy would not be renewed after September 5, 2024.
The reason given was the ‘condition of the property’. The 112-year-old insurer claimed there was algae, mildew, mold and/or moss on the roof “which adversely affects its structural integrity.”
Liberty Mutual provided a satellite photo in their message to the Colemans, and the couple was shocked to learn that their insurer of 20 years appeared to be confusing moss with the solar panels on their roof.
“I wasn’t sure from the photo they sent what specific area they were talking about,” Janice Coleman said CBS13before explaining that the three rectangular black spots on her roof were in fact solar panels.
Janice Coleman, pictured, and her husband were shocked to learn that Liberty Mutual refused to renew their home insurance policy last month
Pictured: A satellite photo of the Colemans’ home, which has solar panels on the roof
“Being a customer for 20 years, this is a very bad way to be treated,” Janice added.
Liberty Mutual told CBS that it “does not publicly discuss the details of an individual underwriting decision.”
Anthony Coleman, Janice’s husband, said he believed the company canceled their policy to save money.
“I feel like they made a decision based on technology just to shrink their portfolio and divest our property like they are doing to thousands of others in the state of California,” he said.
The Colemans have since found another company to cover them, but at a higher cost, CBS 13 reported.
Karl Susman, an insurance broker for 30 years, said insurers should give their customers the opportunity to resolve the problem and let them argue their case if a mistake has been made.
The Colemans said they hired a roofer to prove their roof was healthy, but Liberty Mutual still refused to reverse its decision.
“They don’t want to be criticized by the Department of Insurance,” Susman explained to CBS 13. “And believe me, they will if they don’t renew you for a reason that doesn’t exist.”
Susman added that insurance companies across California are looking for reasons to drop customers because it is difficult to make a profit in the state.
Liberty Mutual, a company that has been in business for 112 years, canceled the Colemans’ insurance policy and allegedly refused to reverse their decision after providing documentation proving their roof was structurally sound
“Oh, they’re actually losing money,” he said. ‘A lot of money.’
A study of data from the 10 largest home insurers by the San Francisco Chronicle revealed that between 2019 and 2024, more than 100,000 Californians lost their home insurance.
Californians who receive a notice of non-renewal, like the Colemans, do have rights and options that they can exercise.
For example, California passed a law in 2018 that imposed a one-year moratorium on companies canceling the home insurance policies of customers affected by wildfires.
Of this toolresidents can check if their zip code qualifies.
If this is not an option, homeowners can also file a complaint with California’s Department of Insurance if they believe their insurer has broken the law.
Both residents and businesses can also apply for insurance through California’s HONEST plan if they cannot find coverage through traditional brokers.
As of 2020, the FAIR Plan, a private entity created by the government but administered by insurance companies, covers less than 3 percent of Californians.